James M. Lawniczak on the Responsibility of Trade Creditors to Verify Debtor's Authority to Use Cash Collateral

By James M. Lawniczak In this Emerging Issues Analysis, Lawniczak examines the 11th Circuit's holding in Marathon Petroleum Co., LLC v. Cohen (In re Delco Oil, Inc.), 599 F.3d 1255 (11th Cir. 2010), [ enhanced version available to lexis.com subscribers / unenhanced version available from lexisONE...

The Springing Guaranty and Recourse Liability

by David R. Kuney and Jeffrey E. Bjork In this Emerging Issues Analysis, two partners at Sidley Austin look at the enforceability of springing guaranties. A springing guaranty is a guaranty that becomes effective upon the occurrence of a certain condition, e.g., a bankruptcy filing. Despite several...

Intellectual Property Issues in Professional Sports Franchise Chapter 11 Cases

By Thomas J. Salerno , Jordan A. Kroop and Hon. Redfield T. Baum Excerpt: Sports teams (and Leagues) abound with intellectual property rights. "Major League Baseball" and its stylized player; "NHL," "NBA," "NFL," "World Series," "Stanley Cup...

The Intersection of Bankruptcy and Taxation in Individual Debtor Chapter 11 Cases

by Daniel M. Press and Brett Weiss Excerpt: The intersection of bankruptcy and taxation is, in many respects, a complicated area of the law, and entire treatises can and have been written about it. This article does not attempt to provide a complete survey of this area of the law, but only to...

Choosing Between Chapter 7 and Chapter 11 as a Vehicle for Sale of Debtor's Assets

Excerpt: A sale of substantially all of the debtor's assets can be accomplished in either chapter 7 or chapter 11. This article examines the statutory restrictions, as well as the practical considerations, which drive the choice of whether chapter 7 or chapter 11 is chosen as the vehicle for...

First-Day Motions In Individual Debtor Chapter 11 Cases

by Daniel M. Press and Brett Weiss Excerpt: Virtually every significant corporate chapter 11 case begins with a series of "first-day motions," or motions filed at the same time as the petition, seeking what is often effectively case-dispositive relief. Most individual cases do not...

Class Action Claims and Chapter 11 Plan Confirmation Issues

Excerpt: Class claims give rise to certain unique issues regarding the voting on and acceptance of a chapter 11 plan. In particular, because a class claim is filed by one entity on behalf of many, the court may be called on to determine whether (or to what extent) the claim should be treated as...

James M. Lawniczak on Third-Party Releases in Chapter 11 Plans

James M. Lawniczak addresses the circuit split on whether a chapter 11 plan can include a nonconsensual nondebtor release. Of the five circuits allowing such releases under appropriate circumstances, the Seventh Circuit has gone the furthest, requiring only that the release be necessary to the reorganization...

James M. Lawniczak on Separate Classification of Deficiency Claims

James M. Lawniczak considers a Ninth Circuit appellate panel decision allowing separate classification of a lender's unsecured deficiency claim in a chapter 11 plan. The decision is part of the continuing conflict between single asset real estate debtors and secured creditors over plan confirmation...